bill: press conference coming newspaper a couple of minutes. martha: we'll look forward to that. get nor information out of there. we will go to radio, tune in there and here. "happening now" starts right now. we'll see you guys tomorrow, thanks for coming. jon: right now brand-new stories and breaking news. jenna: a final shootout and a blazing inferno ending the reign of terror of a fugitive e cop bent and revenge. a burned body believed to be christopher dorner's found in a california cabin. we are awaiting co confirmation that he's really dead. we'll bring you the news as we get it.

immigration reform taking center stage in our nation's capitol. lawmakers hearing testimony from people very, very close to this issue. why one victim of the fort hood shooting says she and others are pre trade by the president. it's all happening now. jenna: hi, everybody, great for you to join us today, we are always so happy to see you, i'm jenna lee. jon: i'm jon scott. california police are working to confirm that. charred human remains found in a mountain cabin of those of accused excop christopher dorner. wanted in the murders of four people, including two california law enforcement officers in a revenge-fueled rampage. the long search reached a dramatic climb action on live television yesterday when a plan believed to be dorner took two possible tajes and stole a car. one of the possible hostages got free and dialed 911.

police tracked down the suspect, engaged him in a wild shootout and dorner ultimately barricade himself inside the cabin which eventually went up in flames. los angeles police holding a news conference right now with new details on this standoff. let's listen. >> what transpired in san bernardino is being investigated by the san bernardino county sheriff's department, and so i have no comments on their investigation at this time. i can tell you that the lapd has now moved back into a normal state of police operation. that began late last night, and will continue now, as far as normal patrol operations. the protective details, some of those are still in place, and those will remain in place until the department and those prote protectees feel safe. as you know until that investigation in san bernardino

is concluded and we have any type of positive identification on what transpired up there we still have some individuals in this department who are still in great fear. when your life lives of your family are placed in jeopardy and threatened with death, that's quite something to deal with. so, we have approximately a dozen or so of those protective details that will remain in place at this point. all of the resources have been returned to their normal functions. the city has not been on any type of tactical alert since early yesterday morning, and we will remain in that status until further. so at this time that's about all i have, in terms of the investigation. if there are some questions related to the dorner investigation that i'm able to answer, again i'm not able to comment on anything related to san bernardino. [inaudible question ] >> again, we have homicide

investigations. the fact that the incident transpired yesterday and -- jon: that is information from the los angeles police saying that until they absolutely know that christopher dorner is dead that his is the body found in that burned out cabin near the big bear resort, they are going to continue with at least some of the protective details around members of the lapd, people who dorner had threatened in his manifesto that came out around the time this whole murderous pre began. our william la jeunesse brings us up to date on where this investigation and the aftermath stands. he's at lapd headquarters. william. >> reporter: well, jon, lapd is following protocol because the crime scene belongs to san bernardino. ap is reporting that a wallet has been found in the basement of that cabin with a driver's listen side that belongs to christopher dorner. now then you'll have the coroner, the autopsy, the forensics and the dent tals

which wildentals that 4 probably confirm his identity. based on the actions of law than forcement and statements of witnesses up there this is not a mystery any longer that the body inside the cabin belongs to dorn, that he is dead and the manhunt is over. the video we are about to show you was captured yesterday as the scene unfolded. [sound of gunfire] >> get down! [sound of gunfire] >> reporter: the break in the case came yesterday around noon. as you said, jon this cleaning crew entered a cabin, dorner was inside, he took them hostage, tied up the women, one got loose. she called 911. he stole a purple nissan truck. a car chase ensued with a unit from california fish and wildlife. dorner crashed in the woods, then he carjacked a second

vehicle, a white pickup, telling the guy to get out and take your dog. the witness said he was wearing a ballistic vest and had a lot of ammunition on it. then a second game and fish unit gave chase. dorner opens his driver's side window and pops the vehicle of the california fish and game five times. he gets out with his rifle and fires 15 shots at dorner, causing dorner to crash. >> at that point where they did engage the suspect a second time he shot at our wardens. they stopped the vehicle, as he continued around a bend in the curve the warden had his patrol rifle, he went up onto a location where he could engage the suspect and he fired multiple rounds at the suspect as he was driving away. >> reporter: so dorner is now on foot. he makes a beeline for the closest cabin that he could find, goes inside. the calvary is beginning to arrive. two san bernardino deputies approach the cabin. dorner fires willing one deputy

out of the front door. as he tries to exit the second another deputy engages him and drives him back inside. now the people, the calvary is arriving and basically at that point in time they surround the cabin, they bring in an armored vehicle, they break the windows, they put the teargas in and say over the loudspeaker, surrender, this is your chance to give up. he refuses and that's when they hear a single gunshot, likely of course that being a suicide shot that basically he fulfills his own manifesto and meets his destiny that he predicted that he would likely die in a shootout. jon. jon: so sad for the one deputy who was killed trying to apprehend him yesterday. just another awful chapter in a very bad story. william la jeunesse, thanks. jenna: we'll keep you posted on the breaking news out of los angeles as we hear more potentially from the press conference. in the meantime we'll turn to dc now where the white house is revealing new details of the president's executive order on cyber security, which takes

initial steps to protect the computer networks of crucial american industries, and of course our struc infrastructure. this hours after the president called on congress to pass new laws in addition to the executive order to fight the growing threat of cyber attack. chief intelligence correspondent catherine herridge is live in washington on this story today. what are we learning about this brand-new executive order? >> reporter: good morning. the head of the national security agency and the u.s. cyber command telling reporters within the last hour that the cyber threat is real and growing citing the recent denial of service attacks on the major u.s. banks and a cyber assault on the saudi national oil company. >> this executive border is only a down payment on what we need to address the threat. this executive order can only move us so far and it's not a substitute for legislation. we need legislation and we need it quickly to defend our nation. >> reporter: aside from the

attacks on the major u.s. banks a recent attack on that saudi oil firm revealed an ability to overwhelm computer networks and also infiltrate heavily guarded systems with the actual destruction of computer hardware and data. fox news recently spoke to the head of the house intelligence committee about this dramatic evolution in the cyber threat. >> i've seen them shut down the saudi company aramco, one of their main oil companies in saudi arabia in a very sophisticated, very dangerous attack. so not only was it just a denial of service, meaning you continue get access to your information, they actually broke machines, manipulated data to change it, very sophisticated. >> reporter: last year the senate cyber bill failed and later today chairman rogers and his ranking member on the house intelligence commit tear going to reintroduce their legislation as well. jenna: we heard references to a cyber pearl harbor. that really hits home with us when we think about the damage this a cyber aeu tak attack

could have on this country. we sometimes talk information sharing about the private sector, the public sector. tell us a little bit about where that stands right now. >> reporter: if i'm going to bottom line it for you there are two major developments in the executive order. one is that the federal government has to produce unclassified reports about the cyber threat and distribute them widely to regular businesses that may be the target and the second is that they need to take more of the classified information about the threat and share it beyond the defense sector which is typically where that information sharing has stopped. for people who are concerned about the invasion of an individual's privacy, this is kind of where the rubber meets the road, and critics say that this may be one step closer to really that sort of big data, big brother society that many americans say they fear, jenna. jenna: that is so interesting. there is a fine line here, the people are concerned about wanting to keep us safe but also make sure we can keep our private lives private. a story we'll continue to watch, catherine, thank you so much.

>> reporter: you're welcome. jon: a desperate search for an escaped inmate. a hunt for a man who police say stabbed an officer four times and somehow got away. how they say he did it coming up. also the vacation nightmare continues in the gulf of mexico. more than 4,000 people on a stricken ship, little power, a dwindling food supply and very few working bathrooms. the latest on their ordeal at sea coming up.

jon: right now we are getting new reaction to president obama's state of the union address. mr. obama using his speech last night to express for more government spending, sweeping gun control measures and immigration reform. let's talk about it with karl rove, former senior adviser and deputy chief of staff to george w. bush, also a fox news contributor. karl, we heard the president talk about a lot of programs that he wants, things liken no sraeugs centers for american manufacturing, that kind of thing. but he says all of this will not

add one time to the dead ral deficit. do you buy that? >> no, i don't. you know it was interesting the president did talk many numbers in his speech and the white house briefing sheets on this didn't have much in the way of information. there are three numbers, the president's infrastructure program is $50 billion, his project rebuild, that is to rehabilitate or tphol i shall a hundred thousand vacant or damaged buildings. 15billion. a billion for manufacturing centers. look at the rest of these things to which no price tag was attached in the speech or in the white house briefing papers. subsidies, more subsidies for wind, solar and wind thermal energy. ee research for biofuel and natural gas cars. redesign america's high schools. a new foreign aid initiative. research for brain disease and clean energy and universal preschool. these are expensive. the last one alone the president's favorite liberal think tank the centerrer for american progress issued a

proposal a few days ago foreshadowing the president's mention of it in his state of the union and said it would cost $25 billion a year when fully operated. we are talking about a hundred billion dollars a year in additional spending if the president's proposals are enacted and we are at deficit, we don't have the money for it. the question is, can we afford it as a country? jon: you heard with regard to that universal pre daycare kind of thing, universal pre kindergarten thing of thing the president said that forever dollar you spend on that kind of a program you get something like $14 back. >> that's how we justify everything. the president justified the stimulus by saying if we spent money on the stimulus, 800 and some order billion dollars that it would grow the economy. we have tried this idea that we could spend our way to prosperity for four years. unemployment rate is higher than it was today than it was when the president began in office. the deficit is a heck after lot bigger. we have much more in the waive obligations. this progressive idea, this liberal idea that we can buy our

way to prosperity has not been born out in the economic growth and job creation numbers we've had in the last four years stphaoeu want to get your reaction to one thing he said in particular. when he was talking about the upcoming sequester, a program which he blamed on the congress that was in session in 2011, wanting to cut a trillion dollars from the budget if we couldn't come up with cuts elsewhere. listen. >> these sudden, harsh, arbitrary cuts would jeopardize our military readiness, they'd devastate priorities like education and energy and medical research. they would certainly slow our recorpsour recovery and cost us hundreds of thousands of jobs. that's why democrats, republicans, business leaders and economists have already said that these cuts, known here in washington as the sequester, are a really bad idea. >> the president would have us believe i guess that he had no

role in that really bad idea. >> plea things first of all it was his idea. if it's a bad notre dam idea, it's his bad idea that he insisted on in the discussions in 2011. what is his plan to avoid the idea? the house republicans have already passed twice legislation that would replace these across the board haircut tph-s domestic and defense spending with thoughtful start cuts and the senate has refused to take it up and the president has yet to provide a proposal. he can lecture congress all he likes. i thought there was an interesting exchange the other day between cbo director douglas elmendorf and senator roger wicker of mississippi in which send wicker said what are you going to price out? what is the price tag going to be on the president's proposal to avoid the sequestration in and elmendorf said we don't have a proposal from the president. wicker said i guess you can't figure out what a speech is going to cost, you have to have

a proposal and the administration has yet to provide a proposal. this is a bad idea, but it was the president's bad idea. absent this bad idea, however, the question is are we going to make any progress on beginning to restore our fiscal balance? the president last night said, oh, we've already cut $2.5 billion out of future deficit -- excuse me $2.5 trillion out of future deficits puts us more than halfway to our goal ever $4 trillion in cuts. i've been talking today to budget experts on the hill and they say the real number is closer to 500 billion, lens one fifth of what the president said last night in his speech, that the real budget cuts, the real deficit reduction in the next ten years is one fifth of what the president was saying last night. jon: it is fascinating to take apart some of these concepts and see how they break down into raw numbers. karl rove, thank you. >> thanks, jon. jenna: it was a relaxing trip on a cruise ship that is now a nightmare for more than 4,000 people on the karen a tphal

triumph. they are dealing with long lines for food, very few working bathrooms since the fire in the engine room cut the main source of the ship's power on sunday. they aren't expected to reach land until tomorrow and it's been quite a trip to say the least. casey stegall is live in dallas. what are you hearing about soft conditions on board. >> reporter: i think it's more to point out that there have been no injuries reported on this. certainly conditions are uncomfortable and we are hearing more about what it's like on that exact cruise liner, because the passengers have had brief moments of cellphone service so they've been able to fire off text messages and make phone calls to loved ones back here on land. some talk about using the restrooms in plastic bags. raw sewage run upb running down the walls. no air-conditioning, sleeping on the deck to get air. people are saying why not send another stipulate to rescue people. keep in mind there are more than 4,000 on board and transferring

them in the middle of choppy waters can be extremely dangerous. carnival's president acknowledging the nightmare but asking folks to be patient. >> since sunday morning our focus has been on insuring the safety of everyone on board the karen a value triumph and getting our guests home as quickly as possible. >> reporter: now karen a value has secured more than 20 charter planes to fly passengers to houston on friday, and then they will be driven back to the port of galveston where the cruise originated from. the cruise line has also made who he fell arrangements for these folks in either mobile, alabama for thursday night once they get in on thursday afternoon, also hotel rooms reserved in new orleans. but if people are fed up and they just want to get home there are going to be, reunderstand, motor coaches made available to them to transfer them from mobile to galveston thursday night. jenna, their compensation by the

way, a full refund on this cruise, and credit toward another one in the future if they want to get on a boat again after this is all said and done. jenna: a big if. we'll see. we'll see how they feel about that when they get ashore and we can talk to a few of them. casey, thank you. >> reporter: you got it. jon: there are some dramatic new details to share with you about that little boy who was kidnapped and held captive underground for nearly a week in a bunker. his mother now speaking out about her son's terrifying ordeal. what the six-year-old saw and what he told her about the shootout that led to his rescue. also, iran and north korea charter members of the axis of evil and still acting up. to balance work and family. ♪ that's why i love adt. i can see what's happening at my business from anywhere. [ male announcer ] now manage and help protect your small business remotely with adt. arm and disarm your alarm, watch secure video in real time,

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jenna: welcome back, everyone. it's a foreign policy flashback if you will with new concerns today over iran and north korea, two countries singled out by

president george w. bush nor than a decade ago during his state of the union address. remember this? >> north korea has a regime arming with missiles and weapons of mass destruction while starving its citizens. iran aggressively pursues these weapons and exports terror while an unelected few reexpress the iranian's people's' hope for freedom. iraq continues to flaunt its hostility toward america and support terror. states like these and these terrorist allies constitute an axis of evil arming to threaten the peace of the world. jenna: well two charter members of the axis of evil iran and north korea both in the spotlight at this year's state of the union. take a listen. >> our challenges don't end with al-qaida. america will continue to lead the effort to prevent the spread of the world's most dangerous weapons. the regime in north korea must

know they will only achieve security and prosperity by meeting their international obligations. provocations of the sort we saw last night will only further isolate them, as we standby our allies, strengthen our own missile defense and lead the world in taking firm action in response to these threats. likewise the leaders of iran must recognize that now is the time for a diplomatic solution because a coalition stands united in demanding that they meet their obligations, and we will do what is necessary to prevent them from getting a nuclear weapon. jenna: ambassador john bolton former u.s. ambassador to the u.n. and a fox news contributor joins us now. what should we expect the american people in the next ten years, should we expect more of the same, the mention of north korea, iran in the state of the union in almost similar or the same terms? >> if we continue to pursue the policies that we have i'm sad to say in both the bush and obama administrations not only will north korea have a deliverable

nuclear weapon but so will iran and so will god only knows how many other countries that see that they were able to persevere, that the united states was unable or unwilling to stop them and in fact you can get nuclear weapons. i think president obama's remarks demonstrated why. the notion that north korea cares about its international obligations, quote unquote, or that iran or north korea can be chit-chatted out of their nuclear weapons programs, these are the delusions we've pursued the past ten years and it's no surprise that we are as far behind the eight ball as we are. jenna: as you mentioned after that speech in 2002 north korea went nuclear if you will under president bush in 2006, four years after the axis of evil speech was made. how do we prevent history from repeating itself under the obama administration where we talk about sanctions against iran waoerbgs talk about diplomas see, and iran in several years

or sooner goes nuclear. >> let's start with north korea which is the most heavily sanctioned country on earth, it's population perennially near starvation, one of the poorest countries on the planet exploded three nuclear devices and put a payload into space. if they are determined to get to a nuclear capability sanctions of the kind we imposed on north korea the security council has or we've ever imposed on iran will fail. we can see now iran is putting in a new generation of centrifuges for its uranium enrichment programs, the economic sanctions haven't slowed it down at all. diplomacy has failed. sanctions have failed. the most likely outcome is that iran gets nuclear weapons and very soon unless somebody takes the unpleasant decision to use military force against that program. jenna: it's interesting they are two very different add minimum strayings you're pointing out that have very similar parallels when it comes to north korea and

iran and attempting to prevent a nuclear program. why even in very different administrations with very different philosophies are the same patterns repeat stph-g. >> because in the bush administration, particularly in the last four years the policies pursued with respect to both north korea and iran were not that different than the policies that the obama administration has pursued. it was the bush administration undersecretary rice, for example, that took north korea off the list of state sponsors of terrorism in an effort to appease them into negotiation, that allowed north korea access to international financial markets, that dithered when it came to iran for six years in trying to move toward more effective anxiouses there tha sanctions there. this has been like groundhog day. we try the same thing over and over, the north korean as and

iranians experts in cleaning our clock is when it comes to negotiations. jenna: we talk about war or military attack, are those only the two options, or is there a third option out there somewhere that simply no one is considering? >> well, i think looking backwards, had we been tougher earlier we'd have more options. i think the game is over when it comes to diplomacy and sanctions. it's not a pleasant choice that we face, but that's why i say the most likely outcome is iran joins north korea in a deliverable nuclear weapons capability in the near future. jenna: ambassador nice to see you and talk to you. and reflect over the last ten years and think about what is ahead for the country as well. look forward to having you back as always. >> thank you. jon: one day after president obama called for sweeping immigration reforms senate lawmakers are taking up the issue right no on capitol hill. we'll get you details in a live report next. also, the dow down about 53

points right now back under 14,000, 13964 is the number. we'll keep an eye on it throughout the day here on fox. we will keep an eye on it throughout the day here on fox. ooerd . ... dentures are very different to real teeth.

they're about 10 times softer and may have surface pores where bacteria can multiply. polident kills 99.99% of odor causing bacteria and helps dissolve stains. that's why i recommend polident. [ male announcer ] cleaner, fresher, brighter every day. jon: some new information now on a story that gripped the entire nation. that little boy from alabama kidnapped from his school bus, then held captive nearly a week in an

underground bunker before his dramatic rescue. now his mother is speaking out, sharing new details about his ordeal. heather nauert has that live from our new york city newsroom. heather? >> reporter: we're hearing from the mother of 6-year-old ethan kirkland. he was rescued nine days from at that alabama underground bunker. in an exclusive interview she reveals new and disturbing details about what happened to her son. she tells tv's "dr. phil", her son watched as 65-year-old jim my lee dykes was shot and killed in the bunker. jennifer kirkland says the army came in and shot what he called the bad man. kirkland says that her son is struggling. >> has he volunteered anything about this? >> he has said a few things now. i know he is verying a very hard time sleeping soundly. he's, he swings his arms and tosses and turns and he's

cried out a few times. >> reporter: well no surprise there. according to kirkland ethan hasn't been back to school yet. the sight of a school bus frightens him. a school bus is where dykes took him hostage after the bus driver was shot. the bus driver tried to stop dykes from taking children that day. that bus driver was also killed. by the way, folks wondering how "dr. phil" was able to secure that first interview? his foundation says they some sort of financial contribution to the boy's family. that interview is set to air later today. jon? jon: i'm sure a lot of people will be watching that is just a sad and fascinating story at the same time. heather nauert. thank you. >> yeah, thanks. >> policy. >> the committee will, the committee will stand in recess until the police can restore order. the police will restore order. jenna: new video today just in. an emotional hearing on capitol hill at this hour as the senate takes up the

issue of immigration reform. this is one day of a the president urged lawmakers to pass a sweeping overhaul in his state of the union address. doug mckelway is live on capitol hill. he has been watching the events during this hearing. so, doug, tell us a little bit about the protest we just saw? >> reporter: in all, jenna, eight people were arrested at this morning's hearing. others were escorted out. these things are always charged with emotion. senator grassley pointed out when he made reference to then senator alan simpson who was speaking of an immigration hearing in 1981 and said, quote, immigration reform is a perilous mind field of emotionally charge issues. one can not consider any such discussion about one own's ancestors and in some cases about oneself. ranking member grassley stepped into the mind field when he questioned dhs secretary napolitano about bad morale among i.c.e. agents who taken a no-confidence vote in their boss john morton, they say in many cases they're not

allowed to do the most basic job which is to arrest and deport illegal aliens. grassley also questioned napolitano about internal documents that showed immigration and customs agents delayed the arrest of a child rapist by the name of abraham sanchez, by learning such a arrest would garner a lot of media attention and a lot of scrutiny. here is grassley. >> isn't that a shocking assertion. a u.s. immigration service would have the discretion to grant a child rapist application to stay in the country. today this person is free in the united states. >> r secretary napolitano said that that man is now wearing an ankle bracelet and she presumes, that he is not allowed access to any children, anymore. she learned of that story from an associated press report. napolitano also added that border enforcement is broken and she said it is time to fix it. here's napolitano.

>> our immigration system is not working. our communities, workers and employers are all frustrated by a system that treats a drug smuggler the same as a high achieving student. undercuts honest employers, and leaves millions in fear of deportation and vulnerable to fraud and other crimes. >> reporter: napolitano added that border enforcement under the obama administration is stronger now than it has ever been and that more people have been deported under the obama administration than at any other administration. jenna. jenna: doug mckelway live in d.c. doug, thank you. jon: let's talk a little more about this now with fox news political analyst angela mcglowan. the seminan ticks are interesting to me. everybody calls it immigration reform. it is really immigration repair. the system that ronald reagan supposedly fixed back in 1986 is badly broken. >> it is immigration repair and the system is broken and i'm glad we're having this hearing today. working in washington, d.c.

as long as i have, you are hearings for show, so members of congress can say, hey, we're doing something about this and we're studying and you actually have hearings that get down to the nuts and bolts of the problem. out of everything the president talked about last night, all the items with his campaign state of the union speech immigration reform can happen because the problems as grassley pointed out. jon: there seems to be the momentum though on capitol hill to get something done. >> yes. jon: you have this gang of eight senators who put forward a proposal. you have the white house interested in getting something done. >> even though this type of policy has been very controversial with jan brewer of arizona going against federal law, this is the type of law that can bring our country together. americans need to see the senate and the house and white house and republicans and democrats work together. so with your gang of eight, with senator rubio being a part of the hispanic caucus and hispanic conference i believe we'll see immigration reform.

jon: senator rubio spoke about that in his reboughtal or response to the president's state of the union. >> with his response, jon, he was successful twofold. first of all the only way we can increase prosperity and reduce poverty is through free enterprise. it is through smaller government and capitalism. so last night rubio not only talked about immigration reform he spoke from the heart dealing with solutions and bringing our nation back together. jon: and well, did he, which cause did he advance? i mean a lot of people were watching this speech in terms of his future prospects as a presidential contender himself but what about the overall policies of things like immigration reform? >> true leadership is speaking from the heart. he has lived it. he has worked in the middle class family. he has worked among immigrants. he is from immigrants. so he lived it and experienced it and that is true leadership where he can bring his experience to the senate. again, as i said in our last

interview last week, obama would be smart to bring this gentleman in the fold. he is arising star. jon: all right. angela mcglowan, fox news political analyst. thank you. >> thank you. jon: jenna. jenna: she helped stop the accused fort hood gunman from took taking even more lives. one of the heroes from that tragic day says she feels betrayed by president obama. we'll tell you why next. hi. i'm henry winkler.

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it will eliminate your monthly mortgage payments and give you tax-free cash from the equity in your home. and here's the best part -- you still own your home. take control of your retirement today. ♪ ♪ jon: we're getting new information now on the 2009 fort hood massacre. one of the heroes of that tragic day speaking out saying she and other victims of the shootings have been quote, betrayed by president obama. heather nauert back at the breaking news desk with that. >> hi, there, jon. some harsh words for the president and she is words are coming from former police sergeant kimber little munley. she is certainly without a doubt a hero for saving lives during the fort hood massacre in 2009 but today she says that she feels she

was used by president obama's white house. now you may remember the sergeant munley sat with first lady michelle obama during the president's 2010 state of the union address. you can see her right there. munley says that she was told that the victims of that shooting would be taken care of but instead, she says she feels betrayed. >> not to the least little bit have the victims been taken care of. in fact they have been neglected very badly. >> so the president's promise was not fulfilled? >> no. >> reporter: munley was shot three times that day as she and her partner took on major nidal hasan likely preventings more deaths. part of what is also so disturbing about this story that munley has been laid off from her job at fort hood's civilian police force. munley and other victims there are now suing the government because the government characterized the attack as work place vie ends are and not terrorism. that designation they say doesn't give them adequate access to medical care and

also financial benefits. they say that the wounds should be characterized as combat-related. by the way, jon, we should mention we just got a statement from the pentagon just moments ago. george little. and i want to read a part of this. he says the department of defense is committed to highest care of those in our military family. survivors of the incident at fort hood are eligible for the same medical benefits as all servicemembers. the department of defense is also committed to the integrity of the ongoing court-martial proceedings of major nidal hasan and will not further characterize the incident at that time. all of us remember here that day 13 people died and 32 were wounded. munley very likely saved more lives. we'll keep you posted as this develops. jon: she took three bullets in the process. she is really a hero as you said. so, i don't know, so sad and bitterly ironic, three years ago she is sitting with the first lady at the state of the union and this year she is out of a job. >> reporter: out of a job. we'll keep watching.

jon: heather, thank you. jenna: a stalled cruise ship is being towed to shore. thousands are stuck on board with very little power or running water. passengers are reporting sickening conditions. the very real health concerns for a whole lot of people. we take a closer look ahead

jon: well it was supposed to be a pleasure cruise. it turned into something of a horror movie. the carnival cruise ship triumph being towed to port in mobile, alabama. this after a fire knocked out its engrins and the main power system over the weekend. food we're told is running out. most of the bathrooms are not working. they have at least another day to go at sea. meanwhile reports of really horrible conditions for the more than 4,000 people on board.

it was supposed to be a vacation, remember? dr. leigh vinocur at lsu health sciences center. we hear reports bass rooms are not necessarily working. food is limited, if refrigerators or freezers are not working they probably have to throw a lot of stuff out. what are you supposed to do in a situation like this? >> it's a tough one because some people reported sewage backing up. so there's risk of all kinds of disenterri diseases, parasites, virus, e.coli. you have to be real careful. and it's hot. so another risk is that, you know, heat exhaustion, heatstroke. a lot of people are sleeping up on the decks. they're out there all day, you know, exposure is another one. dehydration. they're sort of like captive. it's, you know, there's really not that much you can do. they're supposedly bringing supplies in of freshwater

and sandwiches although i read one report they were giving onion sandwiches. i wouldn't call that a nutritious sandwich but you have to be really careful. it sounds like a disaster. jon: but, imagine you're in that situation. what are you supposed to do? if you don't really have, you know, great sanitary facilities anyway, you stay away from all other human beings and how do you do that with a ship that has got 4,000 people on board? >> well, no. it is very hard. it makes you think if you go on cruises since norovirus was spreading on cruises anyway in normal good conditions, make sure next time you go have a lot of hand sanitizer. use that as much as you can. don't walk into water if it is standing even if it looks kind of clean. you don't know really what the water is. if you have cuts, i tell everyone take a first-aid kit on a trip so you have your own bandages to cover because you get infections from that. and, you know, it's hard.

obviously they tried to get rid of the sickest people first but, you know, anyone in these conditions could get sick. i mean there's --. jon: get rid of in a good way? >> yes. get them off the ship. i don't know why they just, when they brought the ship for supplies they just didn't off-load passengers on the ship? they off-loaded the sickest ones but they're slowly towing it into port but it's very difficult. i think if you prepare ahead of time and bring these things for your family and always keep them with, you know, maybe you'll be able to stand it for a couple days. jon: the cruise line says evacuating 4,000 people from a stricken ship in the middle of a, you know, bouncing gulf. mexico is not necessarily safe. so they are safer to keep them on board. that is part of explanation. you can survive a lot longer without food than without water. >> right. jon: would you recommend people, you know, in this

situation, just kind of stay away from the food as much as possible and just keep hydrated? >> well, no. i mean if they are supplying food that's good, i mean that hasn't had a problem with refrigeration. so new food that they're bringing onto the ship you can eat it because a lot of food, if they give you fruit and apples there is a certain amount of water in that and i imagine that they have to bring in water that's bottled water but certainly in that situation, you know, don't drink tapwater, even if they think, you know, it is distilled and such. make sure it is bottled water. but then anytime, if there are soda, i heard they were giving out a lot of alcohol. you have to be careful with that. that can dehydrate. might make you forget what is going on the ship and might make you feel better and but it can dehydrate. jon: it can kill germs. >> that's true. that is another potential,

alcohol, if you run out of hand sanitizer, just start washing in vodka. that could help. good idea, jon. jon: all right. dr. leigh vinocur, boy we'll hear stories when the ship finally docks. i'm not sure i want to listen to them but we'll hear them. doctor, thank you. >> my pleasure. jenna: big question about using vodka, what do you do with it? wash your hands, drink it. might be a tough call. announcement from the u.s. postal service that it plans to cut saturday mail service that has many americans concerned. lawmakers are holding their first hearing on the matter. details straight ahead

jon: brand-new hour with brand-new stories. up in flames. that is how more than a week of terror for people in southern has likely ended. police finding a burned body after a massive shootout, believed to be that of excop christopher dorner. he's accused of killing four

people but is being portrayed as a hero by some in social media. doctor keith ablow weighs in on why. plus rising republican star senator marco rubio hitting the national stage in a big way. what would it mean for the possibility of a presidential run in 2016? lots of people love horses, but not everyone likes to eat them. the horse scandal with emotions running high. we'll tell you about it "happening now." a dramatic end to the manhunt for a maniac. the rogue excop accused of a dead here killing spree apparently dead after a final explosive shootout. welcome to a brand-new hour of "happening now," i'm jon scott. jenna: i'm jenna lee. for southern california a reign of terror appears to be over. right now tests are underway to confirm this a charred body found in a cabin that went up in flames is that indeed of christopher dorner. police believe the suspect barricaded himself inside after

a dramatic chase through the woods as police closed in he opened fire. [sound of gunfire] jenna: that was the scene yesterday. he never emerged from the ruins and hours later a burned body was found in the basement of the cabin. police also found a wallet and personal items, including a california driver's license with the name christopher dorner. as you know, he's a suspect police were looking nor. som for. some families targeted by dorner are still very fearful today. they want a hundred percent proof positive that he's deed. adam housley lives in big bear lake, california where all of this went down. adam. >> reporter: you're right the families are very concerned and obviously so. for nine days christopher dorner was on the run in southern california, nine days from that first murder when he ambushed that unsuspecting couple in irvine, california, up until

yesterday. you mentioned they found a driver's license and a wallet with those remains. late last night we had confirmation from federal authorities who said they are very certain they believe the remains are of christopher dorner's. the wallet was found this morning and the announcement came out. we have new aerials to show you of the burned out cabin and location in big r-r wher big bear where this all went down. dorner was hold up in a cabin not very far away from where a lot of news crews and for that matter where a lot of the briefings took place. when two maids went in there yesterday he tied them up with zip lines and stole their purple nissan. one of the maids got free and called authority. that put out the warning that there was a purple nissan. it was seen by fish and game officers. we had a chance to talk with fish and game this morning about the way that he was seen driving down the road trying to head down and out of big bear.

take a listen. >> they were coming up highway 38 right at glass road. they took that right thinking they are going to engage the suspect in a purple nissan at any moment. ultimately they were traveling up glass road in the opposite direction a white pickup was approaching them at a high rate of speed driving erratically. they took notice of it because he was driving so erratically. when the warden in the lead vehicle by himself passed him he looked over and said, that's our suspect. >> reporter: he eventually got a way for a short time, stole a second truck as we know, was then seen by the officers again, ran into a snow bank and the shootout eventually happened and he barricaded himself inside the cabin of course was eventually burned down. it was quite a day yesterday, as you know, jenna. until they know for one hundred percent certain there are families out here that want to make sure and are still a little bit uneasy at this hour. jenna: you can certainly understand that given what's happened, what's transpired over

the last week. what about the deputy, there was another deputy killed during this shootout yesterday, another one injured. what is new, tell us about that. >> reporter: forgotten in all this. jenna of course are all the different fatalities. you have a young couple in irvine who unsuspecting drove home to their condo and were ambushed and killed in cold blood. they had nothing to do with lapd other than her father helped represent him. you had the three officers hit in the riverside and corona area last thursday. one was just grazed, one was seriously injured and the other one michael crain was killed, his immunity tpal is today. of course you had two more officers hit and one was killed. definitely you have very sad people as you might imagine in the law enforcement community across southern california whether you new these officers or not, they were killed in cold blood along with the two people killed on that super bowl sunday down in irvine, the daughter and of course her fiance. that funeral is today in riverside, and you know we'll have another funeral unfortunately with the san

bernardino county sheriff's officer coming up in the coming days as well. jenna: our hearts just break for those families, adam, it's quite a story. thanks ea more from the scene as we get it. you have to think of the families. it's so hard to believe this. dorner's alleged violent rampage has actually inspired a cult following. thousands of people are praising this guy accused of killing four people, murdering four people. there is more than 70 facebook pages that have been put up, just in support. one sympathizer supporting dorner's actions, saying quote, no justice no peace, all cops are dirty. i don't want to read this stuff on tv quite frankly. why do people do this. why are they coming to the aid of somebody house obviously a murderer and disturbed? we'll talk to dr. ablow about that in about 15 minutes. jon: today is ash wednesday. these are live pictures out of the vatican.

pope benedict i believe -- not visible in this shot. pope benedict is making his first public appearances since announcing his resignation. he's celebrating ash wednesday mass at st. peters basilica. earlier the pontiff addressed an audience of thousands, reassuring him that his decision to step down is for the good of the church. studio b and fox report anchor shepard smith is live in rome. shepard it's my understanding we now know when the college of cardinals will be meeting to choose the new pope. >> reporter: we do indeed, jon the middle of march, march 15th is the date where the 116, 17 or so minus those who are over 80 years old will come together and begin the process, a time-honored tradition. we learned a lot today, really, jon besides when the conclave will begin. we've learned about this pope's final day. of course that is 15 days from today on february the 28th. he'll attend a morning ceremony at the vatican with all of his

cardinals and then fly off by helicopter at 5:00 rome time in the afternoon. he normally completes his day at 8:00pm. so by the time 8:00pm hits he'll be long away from here, going to a retreat, a summery treat, and from that point when his pappa papacy will end he will be far from here. for 16 days there will be no pope and the papal department will sit vacant at that time. the church will go on as normal. on the 15th the cardinals will come together and begin the process of electing a new pope, jon. jon: such an interesting thing as we point out time and time again, hasn't happened in 600 years or so. i've read where even the private secretary to pope john paul the ii is criticizing this pope or critical of the decision at least to decide to step down before death. >> reporter: i read that as well, and since then that secretary, the private secretary

has sent out context on that and said he didn't mean to be critical cat all. in essence what he was saying was, you carry the cross until the very end. but pope benedict the xvi says i know what my duties are, i know what i have to do for the people of the church, i've got even so old, i'm so frail and my mind is that i don't feel like i can do it any more. so he says nor the goo for the gaffe the church i havchurch i haven't step down. the last time it happened in 1415 edward the xii was dealing with multiple people trying to be the pope and times were very difficult, because the church was the law at the time almost exclusively. times are quite different. this pope said look i think this is the right thing to do and now the cardinals will come in and choose another. there is a great deal of anticipation here about the process, and through all the people with whom we spoke, jon i haven't found anybody who has leveled those criticisms. they are excited about the tpaouft the church and hope they

can get someone progressive and who can bring in young people. jon: shepard smith live from rome as lent begins on this ash wednesday. shepard, thank you. jenna: from rome euplt lee to washington d.c. right now the president's pick for treasury secretary on the hot seat at his confirmation hearing, that of course being jack lew, you're not seeing him on the screen right now. he's there in that room taking questions and giving answers. mike emanuel is live covering this. >> reporter: white house press secretary jay carney told reporters a short time ago that the white house does not have concern about jack lew's con fir make. they note he has been confirmed by the united state senate to posts before. this time he wants to be the next treasury secretary and here now is mr. lu making his pitch? we must mutt our nation back on a path of fiscal sustainability. we have locked in $2.5 trillion through sending cuts and revenue reductions.

w >> reporter: republicans have focused a great deal of time and energy on lew's time in the private sect with citigroup from 2002 to 2009. that includes lew serving as chief operating officer of citigroup alternative investments. earlier lew faced heat for a big bonus he received. >> one day later you received a bonus from city group for over 900 and $40,000 for your work as chief operating officer on the alternative investment unit which was responsible for much of the loss. were you aware that citigroup was about to receive a multibillion-dollar federal guarantee when you accepted your bone us? >> senator, i was aware. >> reporter: there has also been heart burn among republicans for testimony that lew gave almost two years ago exactly february 2011 before the senate budget committee.

jenna: busy day on capitol hill, mike, thank you. jon: and a busy day for the president, in this fox news alert is in north carolina to continue some of the themes he's been talking about in his state of the union address, talking jobs. let's listen in to the president for just a moment. >> michelle and i always talk about how, you know, if after this whole presidency thing -- [cheering] >> we're looking for a little spot to, you know -- come on down? [cheering] >> play a little -fl golf? do a little hiking, fishing? a barbecue? [cheering] >> there are two things that keep bringing me back here, number one is i really like the people, and number two is 12 bones which i will be stopping on the way back to the airport. [laughter] >> i want to start off by

thanking for the wonderful introduction and what made it wonderful, wonderful, not only did he do a great job but it was really brief. i also want to thank frank and jim and everybody here for hosting us and giving me this terrific tour of the plant. i want to point out two elected officials who are with us here today, first of all your mayor, terry bell tere terri bellamy. good to see you. you have a wonderful mayor. i like that too. and congressman mel watt is here. give the congressman a big round of applause. so, last night i delivered the state of the union address. [cheering] >> and i talked about steps we can take right now to strengthen our recovery, but also to build up our middle class. and i said that while we are

seeing some signs of solid progress, car sales are up, housing is starting to recover, we're still a ways away from where we need to be. jon: it has become traditional for presidents these days to spend a couple of days after the state of the union traveling the country and trying to echo the themes that they raised at their state of the union address. president obama continuing that tradition in arden, north carolina, stressing that he wants to bring manufacturing jobs back to america. if you'd like to hear the rest of the president's remarks we have them streaming nor you live on foxnews.com. we'll be back in a moment. in blind taste tests, even ragu users chose prego. prego?! but i've been buying ragu for years. [ thinking ] i wonderhat other questionable choices i've made? [ club scene music ] [ sigh of relief ] [ male announcer ] choose taste. choose prego.

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jenna: welcome back, everyone. right now reaction is in to senator marco rubio and the official republican response to the state of the union address. while the florida republican agrees with the president on the middle class needing help the senator explains to fox news the big difference between the approach by the republicans and

the approach of the president. take a listen. >> our free enterprise system is what makes our middle class possible, not government. president tph-s both parties have understood this from john f. kennedy to ronald reagan. this president believes that the pre enter prize system is the cause of our problems. that's why you saw yesterday for every problem we have his solution is a new law or spending program or something else. that just doesn't work. jenna: our chief political correspondent carl cameron is liv live in washington for more. you've been collecting the reviews, what does it sound like. >> reporter: for the most part republicans say that mr. rubio mid a muscular case against the obama agenda. saying his solution is pretty much more government. mr. rubio last night noted john f. kennedy and ronald reagan's belief that the free enterprise economy will lead to middle class prosperity. he accuses the president instead of growing government and piling up more and more debt, watch.

>> this opportunity to make it to the middle class or beyond no matter where you start out in life, it isn't bestowed on us from washington. it comes from a vibrant free economy where people can risk their own money to open a business, and when they succeed they hire more people who in turn invest or spend their money they make helping others start a business and create jobs. >> reporter: rubio is of cuban descent. he re-recorded this in spanish. over and over he emphasized his humble roots in a middle class neighborhood arguing he's not trying to protect the rich from unfair taxes, he's trying to protect the middle class from over penned spending an over spending and all that comes witness. democrats pretty much accuse him of advancing the same ideas that the g.o.p. has been pushing throughout the obama era. but there is good political justification for that. not only does rubio believe those positions but on the

economy and the federal budget in last year's elections most voters according to exit polls agreed with the g.o.p. even as they were electing president obama. jenna. jenna: carl cameron live from d.c., carl, thank you. jon: well, the decision to end mail deliveries on saturday gets a hearing today on capitol hill. what the postmaster general is telling lawmakers about that controversial move. plus, why would anyone like this guy? the rogue e cop accused of murdering four people, specifically targeting police officers and even their families, now he has more than one fan club? dr. keith ablow here to explain why someone wants to kill cops could conceivably attract a cult following. that is coming up. [ male announcer ] how do you make america's favorite recipes?

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jenna: right now the former police officer accused of killing -- well accused of being a murderer has thousands of fans. some are even calling him a hero. christopher dorner posted a rambling manifesto before he apparently died in that burning cabin after a final shootout with police. before it was all over four victims were dead. all along this rampage by this one man. the first were monica quan and her fiance, they were shot dead last week. police say dorner murdered them to get revenge on randal qana former lapd captain involved in a disciplinary hearing that led to his dismissal. dr. keith ablow is a psychiatrist, a member of our medical a team. i didn't even want to read some of the facebook postings in support for this guy. we couldn't help but ask the question, how does someone -- these are alleged still, that is what we have to say technically,

alleged crimes. >> right. jenna: how does he garner such support? why are people coming out in support of him? he's a murderer. >> well, general and you fortunately our society now is one in which reality is giving way to fiction, such that people are -- believe themselves to be mini reality tv versions of themselves and they are vulnerable to seeing somebody who alleges that he's wronged as some kind of larger than life figure. they are not able, it seems, right, many people are not able to empathize with these victims and imagine what it would be like to lose a father, or a husband, because they are caught up in the entertainment value of a horrible crime, and they can cast this guy as a hero, because, hey, here is the script, you're the hero now, because reality is under siege everywhere in america. jenna: explain that a little bit more, dr. ablow. why would it seem that people can empathize more with a

criminal rather than a victim of a crime that -- who also had the drama, for lack of a better word, in this situation? sph becaus >> because he shraeupld the mantel of the lead character an did it at ground zero in the epidemic of narcissism and fiction that is gripping this facebook. this is a place where people post hundreds of thousands of photos of themselves. they have false friends from hundreds or thousands -rblgs they can block unwanted feedback. he listed a manifesto where he claimed the lead actor category in a film of his making and people got lost in it. they said we'll go with that theme you're spinning, that tail you're spinning, sadly that can bleed into politics, into the economy. why would would he be on a roller coaster ride in the economy? because fundamentals don't matter. jenna: it's interesting going back to this specific case when it comes to criminals i was thinking about bonnie and clyde,

for example, right? bank robbers who were idolized in so many ways. that was before facebook and twitter and before all that. is this really just a continuation of that, or is there something actually different in society today, or is this just sort of the way things are and we are reminded about it every once in a while when there is a big crime spree? >> we are tapping into the human ability to tell a story, and the human ability, for instance to be moved by acts of, well, you know, some kind of brazen violence, even if it's against the authorities. but bonnie and clyd had a long run and this was covered in newspapers. look at the pace of these things. someone dressed as the joker appears at the batman premiere. a man goes underground with a boy he come and dears from a bus into a bunker? we have movies playing out in our real lives because people are lost. these crimes now to get the attention of the nation have to be so big skwraoeu only have a minute, how do we tpweubg fix

it? we fix it by getting back to reality. in other words, this. you have to tell people the real stories of the victims. this is who they were, this is what's been lost. you have to depict them and show them grieving. but more than that in our families, get back to reality, get back to pets, having pets, taking leisurely activities outside of the family, connecting to each other, even psychiatry doesn't talk to people any more, we have to get back to connecting for real. jenna: sounds like good advice, maybe we'll start with telling the stories of some of the victims tomorrow even just on our show dr. ablow. >> that is a big leap forward thank you. jenna: we appreciate it. it's an interesting topic. thank you very much. jon: we are just weeks away from the deadline for billions of dollars in automatic spending cuts. the pentagon's top brass is warning makers to toers workou workout a deal or risk america's military readiness. we'll look at what happens if

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jenna: "happening now", there's a big budget axe that is teetering on the pentagon if no deal is reached on looming automatic cuts set to kick in on march 1st. in his state of the union address the president warning of the dangers if no action is taken. >> these sudden, harsh, arbitrary cuts would jeopardize our military readiness, they would devastate priorities like education and energy and

medical research. they would certainly slow our recovery. and cost us hundreds of thousands of jobs. that's why democrats, republican, business leaders and economists have already said that these cuts known here in washington as the sequester, are a really bad idea. jenna: so how much of our national defense is being decided right now by financial concerns rather than the reality of our national security? major general bob scales is a fox news military analyst and joins us now on this. so, general scales, what do you think about that? when you see the list of things that are concerning the nation the president mapped out in his state of the union, north korea, afghanistan, and iran for example, but also the attention paid to defense cuts what's winning out when it comes to our national security? the real national security concerns or the budgetary ones? >> the budgetary ones. jenna.

look, these cuts couldn't happen at a worse time. we just saw the north koreans explode a nuke a couple days ago, or, could they be more misdirected. look, i've been through these cuts three times in my lifetime. after vet name, during the carter era, and during the peace dividend in the '90s. reduce our defense budget after wars but this is just awful because it affects the very thing that are most important to us now like operations and training and the compact that we have with our young men and women in uniform, some of whom have had five, six, seven tours in iraq and afghanistan. and now we have to turn around and let them go because we can't pay their salaries? jenna, this is awful. jenna: let's talk a little bit about afghanistan. the president is talking about a draw dow jones industrial average of the troops, half will be there now at this time next year. the president is already taking into consideration the cuts in iraq and afghanistan as part of the savings from no longer being

at war. that is not how everyone counts that but that is how the president is. >> right. jenna: if they don't follow the schedule then their budget will look different. those savings will not be there. one wonders where is the priority whether the troops fit in with the budget or whether or not the troops deal with the taliban. how do you, you've seen this. how does that work out? how do you weigh both things? >> well this is the first time we've come out of a war, jenna, without really coming out of a war. the american presence will be in afghanistan probably for another four to five years. and beginning in 2014 the forces there will be down to something like 32,000 to your point. they have already been taken out of the budget. that will leave our presence there to do only two things, counter terrorism, killing the taliban and a little bit of advise and assist to the afghan army. many inside the pentagon say that is not nearly enough right now particularly given all the other uncertainties

in the world in places like iran and north korea. the risk is that these nations will miscalculate, they will make mistakes. they will misinterpret what the america's all about when they see the pentagon going after its budget with a meat axe, jenna. jenna: quick question on this because i can't imagine what it is like to be in war right now which we are and hearing about the defense cuts at home when you're on the battlefield but are there places since you've been through this a couple times, where good cuts were made post-combat periods that we should consider because we are in a financial situation that we are? >> absolutely, jenna. and no one disputes the defense budgets should go down after a long war, absolutely true. but two things have to happen. first of all the budget has to be tied to the national strategy. as we reduce our resources we reduce our ambitions in the world. and secondly, it has to be done in a careful, measured, well-thought out way, not

just going after training and maintenance and salaries with a meat axe which apparently is what is going to happen on the first of march. jenna: everyone says this is a bad idea. we continue to hear from both sides but so far no solution on the horizon to prevent these cuts from happening. general scales, always good to see you, sir. >> thank you, jenna. jon: well, the president was highlighting plans for his second term in his state of the union address last night but did he have one message for the american people and another for members of congress? we'll get into that. also a hero one of the foot hood massacre said president obama betrayed her and other victims of that deadly shooting. what she wants from the administration and why she says it is years overdue.

jon: we showed you a bit earlier president obama is in north carolina today rallying support for his economic proposals as he

laid them out in last night's state of the union address. he used that speech to highlight his second term agenda. but was he as aggressive as he was just weeks ago in his inaugural address? according to the website, powe lit co, you -- "politico", you might need to read between the lines. listen what the president said on gun control. >> gabby giffords deserves a vote. the families of newtown deserve a vote. the families of aurora deserve a vote. the families of oak creek and tucson and blacksburg and the countless other community ripped open by gun violence, they deserve a simple vote. jon: well according to "politico", this is what he meant. i plan to embarass congress taking this whole gun control effort seriously. "politico"'s translation, it is not just republicans obama needs to convince. let's talk about it with fox news political analyst juan williams.

juan, on that point specifically the president has a lot of, well there are a lot of questions about whether democratic legislators up to and including harry reid would support what the president wants to do when t comes to gun control. >> that is a good question, jon. in the political calculus that is pretty simple. you have democrats that could be embarrassed if forced take a vote on guns. like assault weapons ban, et cetera. those are in conservative states or in the house in conservative districts may have been carried by mitt romney and they're holding on by a thread. we're talking about whether or not senate majority leader harry reid is willing to put those democrats at risk and also then put at risk control of the senate because republicans have fewer people who were running, who will be running in 14 and fewer people who are at risk. though again, the dynamic is very difficult for the democrats and here's a vote that would expose them to

great political costs. jon: let's take, let's take another listen at one of the things the president said last night. >> and i know you want these job-creating projects in your district. i've seen all those ribbon cuttings. jon: according to "politico" what he meant was, republicans give me flak for proposing stimulus programs but they all show up to take the credit. talk about hypocritical. translation, the president made this remark as he renewed his push for more government spending on infrastructure projects, modernizing the public schools and building high-speed rail and internet. the question, juan, is do we have the money to do all that stuff? >> well, you know, as the white house yesterday and they were making the case to the, you know, the political commentators and analysts like me, jon, that in fact there is no added spending. that what they're talking about was in the jobs creation act there is money there. they can cut from other programs in order to have money for these newer programs. and everything that they're

doing they argue fits into the idea of job creation. so if you look at, for example, the fix it first program, infrastructure, and you heard the president say this last night, you could enter into a public/private partnership that attracts private dollars that helps with the bridge, roads, et cetera and that creates jobs. even if you heard the president talk about immigration, he is talking about making sure we retain the most talented, best-educated immigrants in order to advance our country and create more jobs. so that's their argument. now does it, can you do it without added costs? this is where the problem comes in. the white house and the president did not provide specifics. they didn't say, here's the price tag and here's where the cuts are going to be made in order to pay for this price tag and make it revenue neutral. jon: right. but we heard of him bracking how this was not going to add one thin dime to our deficit. that is pretty hard to believe. >> that's what i'm saying to you. for republicans it is

impossible to believe. they don't believe it at all at this moment as we're sitting here but for the president and his staff they say they have an argument to make. they will roll this out over the next few days and weeks and we'll see that in fact you can have cuts that are, and revenue increases which is of course objectionable to many republicans but sufficient to pay for these ideas including is like raising the minimum wage. jon: all right. juan williams, juan, good to talk to you. >> thank you, jon. have a good day. jon: you too. jenna: well some new developments in a scandal that's rocking europe. people unknowingly eating horse meat in food they think contains beef. it started in the u.k. but now there is some fears that actually this could be happening elsewhere. heather nauert is live with the latest. >> reporter: jenna, it sort of gives the term mystery meat a whole new meaning. there is a scandal unfolding in europe and it is now expanding across the continent. what was labeled as beef in many grocery stores and fast-food joints including burger king, wasn't beef at

all. instead it was cheaper horse meat. germany is the latest country dealing with customer anger over the money saving switch. kaiser supermarket chain pulled frozen beef lasgna from its chains because it is concerned it could be made from horse meat. the company at the heart of this horse meat fiasco, says the lasgna contains up to the 100% of horse meat. they have recalled products in france and sweden. in the u.k. raids on slaughterhouses are underway as the food industry promises to test products to make sure beef is accurately labeled. this doesn't just affect lasgna and burgers but shepherd's pie and kabobs. eating horse meat is considered taboo in many european countries and plain gross here. but in france and netherlands some stores sell it, jenna? jenna: you want to know what you're getting. >> reporter: absolutely. he is specially with horse.

jenna: if it is beef you want to know if it is beef. we'll see if that spreads. heather, thank you. jon: the president proposing raising the minimum wage. he wants to see nine bucks an hour but the national retail association and house speaker john boehner say that move would mean fewer jobs in this country. we'll talk to the president's top economic advisor about it. plus a live update on the carnival cruise ship stranded in the gulf of mexico. how the passengers are doing and what's being done to help them. hey! did you know that honey nut cheerios has oats that can help lower cholesterol? and it tastes good? sure does! wow. it's the honey, it makes it taste so... well, would you look at the time... what's the rush? be happy. be healthy.

jenna: "happening now", a bit of a road trip today for the president. he is in north carolina trying to talk a little bit more on his economic ideas from last night's state of the union address. one of them has to do with the u.s. tax code. last night he said he wants to lower the rate for

manufacturers to 25%. that is one idea he has had on this here is what the president had to say just a few minutes ago at a factory in north carolina. >> right now companies get all kinds of tax breaks for moving jobs and profits overseas. but companies that stay here get hit with one of the highest tax rates in the world. that doesn't make any sense. so what i'm proposing is that we reform our tax code. stop rewarding businesses that ship jobs overseas. reward companies that are creating jobs right here in the united states of america. [applause] jenna: last night's republican response to the state of the union and some of these ideas florida senator marco rubio had some tough words for the president when it comes to taxes. take a listen. >> raising taxes won't create private sector jobs and there is no realistic tax increase that could lower our deficits by almost $4 trillion. that is why i hope the president will abandon his obsession with raising taxes and instead work with us to

achieve real growth in our economy. jenna: manufacturing is one area where apparently the president isn't looking to do that. we'll talk now with one of chief economic advisors at the white house, gene sperling, director of the national economic council. nice to have you back on the program. >> hey, jenna, thanks for having us. jenna: quick question here on the manufacturing sector. the president talks a lot about the success in the sector over the last few years and we mentioned he would like to see the tax rate for manufacturers drop housept 5%. considering dropping the tax rate for other sectors as well, other areas of business in the country? >> yes, absolutely. that's what our core tax reform proposal would do. look, the big picture here is, that this president believes and i think many in the private sector, analytical community believe that the united states has never been better positioned over the last two or three decades than they are right now to compete for location

of manufacturing and high-skilled wages. you hear this from the boston consulting group, from mckenzie and others. they look at our energy costs, our labor costs, our productivity. they see we can compete. you heard the president say yesterday we're seeing some companies bringing back manufacturing jobs from china, from mexico, from japan. and that's important because manufacturing punches above its weight. it is 90% of the patented. 70% of the private sector r&d. it is over half our exports. jenna: sure. >> it has a broad effect on innovation. the president asks what do we do so we're a magnet for those type of high skilled jobes and a lot of it is the type of manufacturing innovation he talked about, going to your question, the other issue is to make sure we have a competitive corporate tax code. jenna: okay. >> so what the president president has said in the context of a larger plan that we're bringing down the deficit, and unlike what senator rubio said, ours is

the large majority of that comes from spending cuts and entitlement savings those it does include some revenues from closing loopholes and tax expenditures. in that context we could also do corporate tax reform where we get rid of some of the expenditures and loopholes and we lower the tax rates to make ourselves more competitive. what the president said is that he wants to at least get to a new 28% corporate tax code rate instead of 35%. for manufacturing it would be a 25%. so his goal is to tax reform that brings our corporate raids down. jenna: if i could jump in here, gene, just with that, with manufacturing being at 25%, not getting too far into the percentages, other industries are struggling like construction for example. is there something on the immediate horizon for other sectors besides manufacturing that would match manufacturing and some of the benefits they're getting potentially, potentially if we see the tax rates come down? >> again just to repeat our goal is do corporate tax reform where you get a rid

of a lot of tax expenditures and loopholes. take the savings to use it to the lower the rate. we belief we could lower a rate to 28% f you find savings you might be able to go lower. right now in the tax code code there is preference for manufacturing because many people believe it has positive spillover effects the same way research and development does. in our tax reform we keep the rate a little lower at 25% but we're bringing all corporate tax rates lower. in terms of construction we absolutely want to help our housing industry out. one way we can do it that is to, you know, help solve some regulatory unearned that may keep people from refinancing and getting their first mortgage and pass legislation that would make it easier for everybody who could refinance to refinance. those are many so things we could do to help the construction industry but in terms of the corporate tax code we would very much like to see a tax reform process where we do make our tax rates more competitive with people overseas. jenna: okay. >> without encouraging tax

havens or any type of race to the bottom. jenna: gene, we were hoping to get to the minimum wage but we'll have to save that till next time. thanks for the time. always appreciate it. >> thank you. jon: all right. some advice for guys and it comes from guppies as valentine's day approaches. what you can learn from fish when looking for a mate. mine was earned in djibouti, africa, 2004.

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